New Rules For Blockchain And Crypto To Be Introduced By South Korean Regulators

New Rules For Blockchain And Crypto To Be Introduced By South Korean Regulators

As per reports published by the Korea Times dated 11th July, the South Korean legislators have formulated fresh drafts of bills to introduce new rules and regulations in the field of cryptocurrencies. It will also include a recommendation about how to conduct Initial Coin Offering campaigns and the use of blockchain technology as a whole. These drafts are expected to bring reforms in the cryptocurrency transactions and prevent any unlawful activities.

They are going to release the drafts in the coming session of the National Assembly, scheduled to be held from July 13th to 26th. One of the representatives of the leading opposition Liberty Party Korea (LPK), Song-Hee-Kyung has demanded the regulations. Song-Hee-Kyung expects that the regulation of such kind will minimize the incidents of online theft, cybercrimes, money laundering and personal data leaks.

The ruling Democratic Party of Korea and its representative Park Yong-jin, the representative of the LPK Chung Tae-ok and the representative of the minor opposition Bareun Mirae Party, Choung Byoung-gug are all ready to present their proposed bills on this coming assembly session. They all emphasize on the legality of the digital currency and the crypto exchange requirements necessary to bring transparency into the system. Another leader of the minor opposition party, Oh Se-Jung especially emphasized on the need to strengthen the security measures involved in cryptocurrency exchange.

South Korean regulators have been changing their attitude gradually towards the virtual currencies. A government announcement came in the last month to reconsider the ban on ICO campaigns, which was enforced in the year 2017. On the other hand, the Ministry of Science and Technology are now preparing to strengthen ties with the United States in the hope to bring forth a kind of “Fourth Industrial Revolution” fortified by blockchain initiatives.

At the beginning of this month, the country has revealed that it is now preparing new standard rules to implement in the blockchain industry. This new scheme which is expected to complete at the end of this month will govern the basis for policy-making decisions to regulate and promote the blockchain technology for the development of the country.

It will definitely be a landmark step in the country to promote the concept of digital currencies. The general people in the country are very keen to deal on cryptocurrencies, while the government had always been reluctant towards its regulation. There was so much craze for virtual currency at the beginning of this year, but the price of cryptocurrency has increased at a rate which was higher in America.

The reason to worry for the investors was the ban of ICO campaigns by the government. It created a fear in the minds of investors that the virtual currency must be closed down in the country forever. So, given this context, the coming of these fresh regulations can be considered as a positive step in the country. It will remove all the uncertainties related to the cryptocurrency regulation in the country. Investors are now hoping that all the controversies regarding the use of cryptocurrency will come to an end through these regulations.